I talk to business executives who are seriously thinking through the strategic implications that data will have on their profit models. They are looking to position their companies for an impending shift in focus to all things Web.
We’re witnessing a seachange in the way companies use online data to deliver appreciable and meaningful value to their constituents. Data has become the commercial currency of 21st century business. The ‘economics of data’ are fundamentally changing how companies profit from the use of the Web.
There’s a real sense of urgency, and to some degree anxiety, from the tsunami of online data and the need to put it to work. What consumers do online has taken on enormous importance.
It won’t be long before every browser and application will partner with a client side database. These databases will replace the legacy databases in new browsers, significantly enhancing insights, relevancy and downstream value-add services. As a result, enormous pressure will be placed on server side legacy DBMS infrastructure, which can’t be retrofitted to handle the linear growth in data and the need for deep data analytics.
Consider the changes coming with new client side database Web storage capabilities under the W3C consortium’s HTML 5 initiative – a database in every browser is already among us, but they’re growing in size and capability. There’s more work to be done on the API’s and there continues to be healthy debate over which should, and will, be the standard, but the direction is clear: new web database and storage API standards will put the use of analytics front and center in every business.
Greg Schmitzer, CEO of Mad Mobile, who built an HTML 5 online site for American Suzuki Motor Corp, had it right when he said, “Having a mobile Web presence pushes the consumer through the purchase funnel.” “They want info about the car and the site presents that info clearly so they are able to find the information they need as fast as possible.” To be effective, companies will have to know a lot more about their targeted audience.
To understand target audiences at a meaningful level means collecting a lot of data. Being mobile drives an order of magnitude or more data. It also means conducting data analysis better and faster. Marketing and business executives know that if they don’t do this, they won’t be competitive. It’s tantamount to driving in the dark without headlights. The issue is providing a more relevant and richer experience for the consumer. After all, consumers will continue to demand higher content and adverting relevancy, as well as better service.
Industry leaders must now invest in analytics. If they don’t, they risk starving their online business models of the profit needed to grow the topline. The challenge is finding a way to capture as much data as possible and put it to work in a timely manner, across the organization. Companies will pivot on the insights.
As more and more people take flight to a social and digitally-networked mobile world, businesses can no longer afford to “batch the analysis”. They’ve got to find a way to put the data to work in a way that captures the moment of online consumer behavior – at the point of impact. That’s where the money is. That’s where the profit is.
Analysts can’t, and shouldn’t, trade off the technological issues of performance, cost and simplicity with increasing data. Scaling performance with data, cost effectively, is not only paramount, but possible with next generation CDBMS solutions like InfiniDB.
To eliminate analytic latency, we’ve built InfiniDB, a technologically-advanced column-oriented analytic database to run on everyday, standards-based hardware. We’ve taken the hardware complexity, and risk, out of the solution. It’s the ideal companion for companies that do business on the web.
So if you believe your web data is more valuable today than it has ever been; if it’s growing faster than it ever has; and you know that it’s central to your profit model, then do what I see more and more companies resolving to do– make data economics a priority in 2011. You’ll be in good company.
2011 may be your year to resolve to attain faster, deeper and better analytics for your business…because it likely depends on it. Calpont can help you achieve that resolution.
Jeff Vogel, President & CEO, Calpont, the makers of InfiniDB, the premier column-oriented, scalable database for deep analytics.
Experience extremely fast data analytics. Test column-oriented technology yourself when you try InfiniDB for free today.